This year, Abu Dhabi National Insurance Company celebrates 50 years of helping the people and companies of the UAE identify, mitigate and manage risk.
The insurer’s journey has always closely tracked that of the UAE. With the country placing sustainable development and the transition to the green economy at the centre of its bold plans for the next half century, these have also become focal points for companies like Adnic looking to positively contribute to the UAE’s future.
Adnic chief executive Ahmad Idris says a key function of insurance is to support innovation and investment. “As a UAE-headquartered insurer, we have closely watched how the UAE’s sustainability journey has been shaped by these two forces over many decades,” Mr Idris says.
Mr Idris points to the creation of Masdar in 2006 as a pivotal moment that established a global leader in renewable energy. Further momentum has come from initiatives like Abu Dhabi Sustainability Week, now approaching its 10th edition, and the country announcing the UAE Net Zero by 2050 strategic initiative last year — making the UAE the first Middle East and North Africa nation to do so — supported by investment in renewable energy exceeding Dh600 billion ($163.3bn).
As new green infrastructure and clean energy projects break ground in the UAE to achieve net zero by 2050, Adnic says the country’s insurers will step in to provide cover and confidence at every stage, from planning through to delivery and ongoing operation.
“Given the size of its sustainability ambitions and the depth of its expertise across so many different areas, from science to finance, it also follows that the UAE is well placed to lead in the development and deployment of insurance products and business models designed to support sustainability goals,” Mr Idris says.
“It is a hugely significant area for the industry that will only grow in importance over the coming years, with the UAE well placed to serve as a key global hub.”
Embedding sustainability principles into their operations is another way the UAE’s insurers can contribute to the country’s ambitious net-zero goals, says Adnic. These principles have important implications for the way insurers mitigate risks, manage investments, operate their businesses, engage with stakeholders and deliver profitability over the long term. At Adnic, Mr Idris says, sustainability is an integral part of doing business and the company is committed to creating value for all and continuously reducing its impact on the environment.
Adnic’s ESG journey started quite some time ago. The company has invested in the holistic well-being and protection of its clients, employees and the community at large. With this in mind, Adnic launched many supportive measures and initiatives and continues to actively support local communities through philanthropic partnerships. For instance, the company has partnered with Emirates Nature-WWF to contribute to local conservation projects and help pave the way for the UAE to achieve its net-zero goals.
In efforts to reduce energy waste across offices, electricity usage, greenhouse gas emissions and water consumption decreased between 2019 and 2021. Last year, Adnic sent 10,000 kilograms of paper to be shredded, which was then sent to a recycling centre to be processed into recycled paper products. In an industry that is heavily reliant on paper documentation, Adnic is combating paper waste by digitalising its services and activities.
“The UAE’s insurers are primed and ready to rise to the challenge set by the country’s bold net-zero ambitions,” believes Mr Idris. Whether by de-risking innovation and green mega projects or by introducing new specialist sustainability insurance expertise and products into the market, he believes the sector will play an important role in the years to come.
Mr Idris concludes: “As we celebrate 50 years of operations, Adnic is also looking to the future and to working alongside its partners and customers to be part of enabling a greener, more sustainable future for all.”